Construction invoices will vary depending on the specific work being performed. Your particular trade or even client may demand a more or less technical explanation of your services and rates. In general, a sample construction invoice template will include the following:
Your invoicing window is fairly flexible with construction, since projects typically last a considerable amount of time. From the initial meeting, the project will have to be evaluated, laid out and scheduled. Often, projects need to be completed in phases, with lengths of time in between.
One option is to match your invoicing with the project phases—this ensures you’re getting paid consistently as the job unfolds and more materials is needed. For instance, if you’re renovating multiple rooms in a home and doing one room at a time, you may bill for the materials and work as each room is completed. Similarly, if it’s a larger project, such as building an addition to a home, you may divide payments up into monthly installments over the specified duration of the project. This option may be ideal all-around as customers often prefer to pay in installments.
Another route you can take is to charge the full amount after the job is completed to your customer’s satisfaction. More wary customers prefer this as they are assured the job won’t be left partially completed. This option requires more upfront capital from your company, and it may not be the best choice for smaller operations.
A third option is to require full or partial payment before the project starts. Not only may this method be objectionable to some customers, but you may sacrifice wiggle room for unforeseen costs as the job progresses.
You take great pains to ensure your work looks professional—shouldn’t your invoices reflect that? Here are some pro tips to keep your invoices looking good to make your process effective and efficient.
When you think you’re ready to upgrade to an automated invoicing process, make sure you check out Sage Business Cloud Accounting online invoicing tools and explore how they can take your business to the next level.
The many facets of construction work make it hard to pin down a one-size-fits-all template—that’s why ours are so customizable. We’ve compiled some tips from business owners like you on how to most effectively carry out your invoicing process so you get paid quickly and consistently.